GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

S	1 

SENATE BILL 573

Short Title:  Charlotte Development.	(Local)

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Sponsors: Senator Clodfelter.

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Referred to:  State and Local Government.

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March 29, 1999

A BILL TO BE ENTITLED
AN ACT TO AUTHORIZE THE CITY OF CHARLOTTE TO ENGAGE IN PUBLIC-PRIVATE PROJECTS OUTSIDE THE DOWNTOWN AREA.
The General Assembly of North Carolina enacts:
Section 1.  Section 7.109 of the Charter of the City of Charlotte, being Chapter 713 of the 1965 Session Laws, as added by Chapter 55 of the 1981 Session Laws, reads as rewritten:
"Sec. 7.109.  Public-private development projects.
(a)	Definition.  In this Article, 'public-private development projects' means a capital project located: (i) in the city's central business district, as defined by the city council; (ii) in or along a major transportation corridor; or (iii) in a development zone designated pursuant to G.S. 105-129.3A; comprising one or more buildings or other improvements and including both public and private facilities.  By way of illustration but not limitation, such a project might include a single building comprising a publicly owned parking structure and publicly owned convention center and a privately owned hotel or office building.
(b)	Authorization.  If the city council finds that it is likely to be of significant economic benefit to the area of the city in which the project is located, the city may acquire, construct, own, and operate or participate in the acquisition, construction, ownership, and operation of a public-private development project or of specific facilities within such a project.  The city may enter into binding contracts with one or more private developers with respect to acquiring, constructing, owning, or operating such a project. Such a contract shall among other provisions, specify the following:
(1)	The property interest of both the city and the developer or developers in the project.
(2)	The responsibilities of the city and the developer or developers for construction of the project.
(3)	The responsibilities of the city and the developer or developers with respect to financing the project.
(4)	The responsibilities of the city and the developer or developers with respect to the operation of the project.
Such a contract may be entered into before the acquisition of any real property necessary to the project.
(c)	Property acquisition.  A public-private  development project may be constructed on property acquired by the developer or developers or on property directly acquired by the city by purchase.
(d)	Property disposition.  In connection with a public-private development project, the city may lease or convey interests in property owned by it, including air rights over public facilities, by private negotiation or sale, and Article 12 of Chapter 160A of the General Statutes does not apply to such dispositions.
(e)	Construction of the project.  The contract between the city and the developer or developers may provide that the developer or developers shall be responsible for construction of the entire public-private development project.  If so, the contract shall include such provisions as the city council deems sufficient to assure that the public facility or facilities included in the project meet the needs of the city and are constructed at a reasonable price.  A project constructed pursuant to this paragraph is not subject to Article 8 of Chapter 143 of the General Statutes as long as city funds constitute not more than fifty percent (50%) of the total costs of the project.
(f)	Operation.  The city may contract for the operation of any public facility or facilities included in a public-private development project by a person, partnership, firm, or corporation, public or private.  Such a contract shall include provisions sufficient to assure that any such facility or facilities are operated for the benefit of the citizens of the city.
(g)	Grant funds.  To assist in the financing of its share of a public-private development project, the city may apply for, accept and expend grant funds from the federal or State governments."
Section 2.  This act is effective when it becomes law.